MEET the train driver – aka Eddie Hawthorne, managing director and the man on the footplate powering the runaway success that is Arnold Clark Automobiles Ltd.

Scotland may not make cars any more but, my goodness, we sell them.

From Inverness to Stourbridge in the West Midlands, Arnold Clark operate 173 dealerships covering 24 marques and hundreds of miles of motoring, as Eddie will attest.

Following the ethos of chairman Sir Arnold Clark, he believes in management by walkabout and is currently doing 750 miles a week in his pledge to visit every branch at least once a year.

He is very aware that, no matter who is at the controls, the man whose character permeates every part of this great company is Sir Arnold.

Eddie said: “It is still his business – not mine. I am just the train driver taking care of things.”

And as the company celebrate their 60th year in business, now on Eddie’s watch, those things are doing rather nicely.

An accountant by profession, a lover of cars by accident, he is a huge admirer as well as close friend of the man who is now one of Scotland’s great business icons, Sir Arnold Clark.

Sir Arnold Clark with the first car he owned – a 1933 Morris Ten Four

They met in 1989 when Eddie was the senior auditor on the company’s annual accounts.

When Sir Arnold learned that Eddie would not be back the following year because he intended to go into industry, he promptly hired him.

It was a snap decision that has, 25 years down the line, reaped the kind of rewards that neither of them could ever have dreamed of, particularly Eddie, who had until then never considered a career in the motor industry.

“What fascinated me was working for one of Scotland’s great entrepreneurs – and that just happened to be in cars,” said Eddie. “I had qualified as a chartered accountant and that took me eight years.

“During the first eight months with Sir Arnold, I probably learned far more about how business operates and how to drive a business.

“He is 100 per cent focused on his business, staff and customers. He would never walk past a member of staff or customer.

“He always had time for everyone. He described it quite simply to me once – his business was his hobby – and today he still loves it.”

Eddie caught the bug and began a meteoric rise up the career ladder as he and Sir Arnold worked together on some tricky projects.

It forged a trust and bond between the two men that culminated in Sir Arnold appointing him as his number two and then managing director in his own right when he decided to step back a bit.

Sir Arnold at the door of one of his first-ever dealerships, in Park Road, Glasgow, which opened in 1954

There were difficult times before during and after – Suez, for one, when everyone was doing their best to offload anything automotive.

“Sir Arnold ploughed all his money into cars when everyone else was baling out and made a significant amount of money when the situation turned round,” said Eddie. “That was a fundamental change for the business.”

It was followed by excruciatingly high interest rates in the 90s, rip-off Britain of the early noughties and then the economic crisis of 2008. Arnold Clark survived when others went under – thanks in part to the business model set up by Sir Arnold and followed today by Eddie.

It is quite basic. The company do not expand on borrowings but only out of their own resources.

It is that old Scottish presbyterian philosophy – if you cannot afford it, don’t buy it. Eddie explained: “If I am buying a business, I have to have a return in five years. And if I can’t generate the return, I won’t invest in it.

“This is how we manage our expansion – this is what keeps it real for us.

“Our profits are reinvested in the business and that allows us capital to expand, so we don’t borrow to expand.

“We are masters of our own destiny – it gives us a bit of safety.”

Expansion is important to Arnold Clark. One of the company’s milestones was a deliberate decision taken by Sir Arnold in the 90s to prove that big would be beautiful.

He and Eddie together set out on a progamme that would see the 28 dealerships they had then multiply.

Growing alongside were a plethora of other assorted, connected businesses – finance, long-term contract, short-term hire, autoparts, rental – each feeding into and off the other.

They bought more garages and franchises – Ford and Toyota joined Renault as the brands diversified.

Sir Arnold receives his knighthood at Holyrood House, in Edinburgh, in June 2004

And, geographically, the firm moved from the west of Scotland, east, north and then to England, where today the biggest Arnold Clark Motorstore in Stafford covers 10 acres and the showroom can hold 200 vehicles.

They set a target for themselves to employ 10,000 people and sell 250,000 cars a year with a turnover of £3billion.

Today, they employ about 9500 people, last year they sold 246,000 cars and their turnover is already more than £3billion.

“So now we have got to set ourselves a bigger target,” mused Eddie. And will there be more expansion? He laughed: “Watch this space.”

Indeed, only days after this interview, Arnold Clark announced they had bought over Ness Motors in the north of Scotland.

To celebrate the company’s 60th year, using the strapline Sixty For A Reason, directors asked the staff to come up with suggestions of how to make the business better using the theme Think Customer.

The idea was to improve service and so engaged were Arnold Clark staff that they returned 1500 ideas.

“What we wanted to do was differentiate ourselves moving forward,” said Eddie.

“And what we realised was that one size doesn’t fit all and what works in one branch doesn’t necessarily work in another.

“What we have now are some really good ideas to improve productivity and customer satisfaction.”

Given the diversity of the company and the number and variety of cars, what does the boss of such a huge motoring group drive? Eddie grinned: “Anything I want.”

The Arnold Clark rebranding for their Motorstores

Signs of the times for Motorstores

ARNOLD Clark have recently undergone rebranding. The familiar logo has been streamlined and tweaked for a 21st century look.

The idea was to give more prominence to the company’s buildings.

The name Arnold Clark is now in white with a charcoal grey background and a small yellow stripe.

It will adorn all the Motorstores – 45 of them across the country.

At the same time, the Motorstores have all been refreshed with new furniture and a more relaxing atmosphere for customers.

What will not change is the black and yellow Arnold Clark rear window sticker that goes on all used cars sold.

Eddie said: “That is sacrosanct. Black and yellow stays.”

Company headquarters on the move

ARNOLD Clark Automobiles are moving their UK headquarters from Nithsdale Drive in Glasgow to Hillington.

The move represents a £9million investment and refurbishment programme and will bring together a range of departments now scattered across different locations, including the media and digital teams, customer services, contract hire and vehicle management.

A total of 400 people will relocate to the new premises, which will also bring together two Renault dealerships into one super dealership.

It means there will also be at least 100 jobs on offer in graphic design, digital, administration and accounts. At the same time, the company are looking for an additional 100 technicians – mechanics – to train in the business.

“Our biggest challenge is that we wish to operate as one business and we needed a facility to house all our people in one place,” said Eddie.

“Our current head office was just too small for us and some of the other locations were coming to the end of their economically useful life.

“The business goes from strength to strength and I think that 2015 will be an even better year for us.”